I hope it goes well for you, but that yield is way out of wack with the rest of the world...have they defaulted on the last few payments? Have they announced that they may have trouble making future payments? If it sounds too good to be true, it usually is.

I know nothing about Fortis and have not looked anything up. Maybe you'll do well (I got a nice double once on Wendys convertible bonds plus a nice rate of return...so anything is possible).

You bought a reverse convertible security, which is a form of arbitrage Fortis is engagin in. It is a combination of a bond and a put. They will invest the principal for the term of the bond. If the investment is successful, they will return the principal to you at maturity. If not, they will pass the investment on to you - now at a lesser value than the principal you staked. You should find out what the underlying investment is. A 23% yield implies a lot of risk, so chances are you'll end up with the underlying investment. If it does well, you can try to sell the bond before maturity. You could make a profit. But you need to know what their reference price is, not just the open market price. Obviously Fortis thinks the underlying investment is worthwhile or they wouldn't issue the bond, but they have the option of giving you the investment instead based on whatever trigger points they laid out in the prospectus (usually a percentage of the investments price at issuance).

You bought a reverse convertible security, which is a form of arbitrage Fortis is engaging in. It is a combination of a bond and a put. They will invest the principal for the term of the bond. If the investment is successful, they will return the principal to you at maturity. If not, they will pass the investment on to you - now at a lesser value than the principal you staked. You should find out what the underlying investment is. A 23% yield implies a lot of risk, so chances are you'll end up with the underlying investment. If it does well, you can try to sell the bond before maturity. You could make a profit. But you need to know what their reference price is, not just the open market price. Obviously Fortis thinks the underlying investment is worthwhile or they wouldn't issue the bond, but they have the option of giving you the investment instead based on whatever trigger points they laid out in the prospectus (usually a percentage of the investments price at issuance).

You've overlooked the interest payment. While they may not lose on the principal either way, they have paid pretty handily for access to that principal. Fortis is paying a 23% yield for the capital to make this investment. That is a pretty significant stake.